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Regular Session, 2010
HOUSE BILL NO. 747
BY REPRESENTATIVE ARNOLD
RETIREME NT/LOCAL: Relative to the Harbor Police Retirement System (Port of New
Orleans), provides that persons retired from other systems are eligible for
membership from their date of hire
AN ACT1
To amend and reenact R.S. 11:3683(3)(b) and 3690(D)(1), (3), and (6) and to repeal R.S.2
11:3690(D)(8), relative to the Harbor Police Retirement System (Port of New3
Orleans); to provide for membership in such system; to allow certain retirees of other4
systems to be members of such system; to provide relative to employer5
contributions; to provide an effective date; and to provide for related matters.6
Notice of intention to introduce this Act has been published7
as provided by Article X, Section 29(C) of the Constitution8
of Louisiana.9
Be it enacted by the Legislature of Louisiana:10
Section 1. R.S. 11:3683(3)(b) and 3690(D)(1), (3), and (6) are hereby amended and11
reenacted to read as follows: 12
§3683. Membership13
The membership of the retirement system shall be composed as follows:14
* * *15
(3)16
* * *17
(b) Any employee who is employed on July 7, 2003, who has retired from18
service under any retirement system of this state partly or wholly financed by public19 HLS 10RS-1613 ENGROSSED
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funds, who is receiving retirement benefits therefrom, and who was prohibited from1
becoming a member of this system upon his initial employment solely on this basis2
shall become a member of this system prospectively only, beginning on July 17,3
2003, and from the date of his initial employment provided he meets all other4
eligibility requirements; however, any such employee may purchase credit for5
previous service only in compliance with the provisions of R.S. 11:158 provisions6
relating to actuarial calculation of purchase price.7
* * *8
§3690. Method of financing9
* * *10
D. Pension accumulation fund. The Pension Accumulation Fund shall be the11
fund in which shall be accumulated all reserves for the payment of all pensions and12
other benefits payable from contributions made by employers. Contributions to and13
payments from the Pension Accumulation Fund shall be made as follows: 14
(1) On account of each member there shall be paid annually into the Pension15
Accumulation Fund for the preceding fiscal year an amount equal to a certain16
percentage of the earnable compensation of each member to be known as the17
"Normal Contribution", and an additional amount equal to a percentage of his18
earnable compensation to be known as the "Accrued Liability Contribution". The19
rate per centum of such contributions shall be fixed on the basis of the liabilities of20
the retirement system as shown by actuarial valuation; subject to the limitation of21
Paragraph D(8).22
* * *23
(3) The Port Commission shall annually contribute an amount equal to the24
rate per centum determined herein in accordance with Paragraphs Paragraph D(4)25
and (8). The first contribution under this Subpart shall begin with the fiscal year26
beginning July 1, 1971, and shall be made annually thereafter.27
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(6) The total amount payable in each year to the Pension Accumulation Fund1
shall be not less than the sum of the rate per centum known as the "Normal2
Contribution Rate" and the "Accrued Liability Contribution Rate" of the total3
compensation earned by all members during the preceding year and shall not exceed4
the limitation set forth in Paragraph D(8).5
* * *6
Section 2. R.S. 11:3690(D)(8) is hereby repealed in its entirety.7
Section 3. This Act shall become effective on July 1, 2010; if vetoed by the governor8
and subsequently approved by the legislature, this Act shall become effective on July 1,9
2010, or on the day following such approval by the legislature, whichever is later.10
DIGEST
The digest printed below was prepared by House Legislative Services. It constitutes no part
of the legislative instrument. The keyword, one-liner, abstract, and digest do not constitute
part of the law or proof or indicia of legislative intent. [R.S. 1:13(B) and 24:177(E)]
Arnold HB No. 747
Abstract: Relative to the Harbor Police Retirement System (Port of New Orleans) (HPRS),
allows certain retirees of other retirement systems to be members. Removes the 13%
cap on employer contributions.
Present law prohibits any person employed on July 7, 2003, who has retired from another
retirement system, from becoming a member of HPRS upon his initial employment. Rather,
membership shall be prospective from July 7, 2003, forward.
Proposed law repeals present law's prohibitions and allows a retiree of another system, who
is employed on July 7, 2003, to become a member of HPRS from his date of employment,
rather than prospectively only from July 7, 2003.
Present law requires payment of annual employer contributions from the Board of
Commissioners of the Port of New Orleans to HPRS as a percentage of earnable
compensation (payroll) in an amount sufficient to fund the liabilities and costs of benefits
of HPRS. However, present law provides that such amount shall be limited to 13% of
payroll.
Proposed law removes present law's 13% cap on employer contributions.
Effective July 1, 2010.
(Amends R.S. 11:3683(3)(b) and 3690(D)(1), (3), and (6); Repeals R.S. 11:3690(D)(8)) HLS 10RS-1613 ENGROSSED
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Summary of Amendments Adopted by House
Committee Amendments Proposed by House Committee on Retirement to the original
bill.
1. Removes present law's 13% cap on employer contributions.